Focusing on the supply chain for custom AI semiconductors (ASICs), this selection comprises 20 Japanese stocks, centered on developments at Socionext and MegaChips as well as those at companies supplying related materials and equipment. Recent developments at the intersection of markets and companies, including TrendForce forecasts and ordering trends among major players, have been reported.
As the adoption of AI ASICs advances, the importance of the supply chain supporting demand is increasing. TrendForce forecasts that ASIC-equipped systems will account for a record 27.8% of AI server shipments in 2026, with growth expected to outpace that of GPU-based systems.
Among Japanese companies developing customer-specific chip designs similar to Broadcom's, Socionext has a large business scale, with its accumulated design-win backlog reaching approximately ¥1.5 trillion. The share of its business serving data centers and networking applications is increasing, as is the proportion of products manufactured on 7nm or smaller process nodes.
MegaChips is expanding collaborations with companies including ProteanTecs, with ASIC design for Nintendo as its core business. Its earnings are affected by the holding and gains on sales of SiTime shares, while it has not yet disclosed any track record of orders for AI-related ASICs.
The article explains that 20 stocks were selected from four areas of focus. Earnings periods and forecasts are described based on disclosures made during the relevant periods, while attention is focused on the future ramp-up of mass production and trends in cost burdens.